What's a decent dealer's profit

[wagonmaster2]

Has anyone purchasing a 2015 motorhome in the $300,000-$400,000 price range getting more than 25% discount? Does $12,000-$15,000 sound like a decent profit? The couple prices I have gotten so far seems they are trying to get roughly $25,000-$32,000 per deal. I have no way of proving it but I was told last year by a fellow who had just purchased a $380,000 coach that he knew their cost was right at 71% because he had seen the dealer's invoice along with the MSRP invoice.

I hate this haggling part of dealing for a new vehicle since I'm not very good at this game. Always hate to insult somone with a ridiculous offer but rather they didn't take their trip to Hawaii on my deal. Not near as good as Rick on Pawn Stars or The Count on Counting Cars.

[DSL417]

Bid at 30% and try to settle in the 28% arena of MSRP..

As far as profit is concerned, $15k on $300k coach would be a 5% profit margin. Most of the businesses I worked in would view a 5% profit as far short of a fair return on equity, risk, and investment. It isn't about the number of dollars, it is about the return...kinda like our expectations on our 401k. JMHO

[Sagamore]

keep in mind, it's your money! It's never a bad offer. If I was thinking of a certain price that I would buy the RV at, I would offer 20% below that as my first offer. Their are a lot of RV dealers and new RV's. You don't have to settle for their price. I know, I have been in the automotive business for twenty years.

[brian-nicola]

The dealer invoice means nothing, there are so many back room deals, incentives, floor plan deals, factory love, except for senior management or the owner, I doubt anybody knows for sure. What I do know for sure is the average net return on years gross sales is about 3-5% as two people I know very well are in the business. So 500,000 profit on 10,000,000 of sales. I do better than that in mutual funds and no headaches. Offer what you feel comfortable with, the worst they will do is say no and you have the option to walk away.

[wagonmaster2]

So far the two quotes I've received as a first offer has been 20% and 22.2%. Didn't think those were even in the ball park.

[UncleBilly]

Deal with a salesman the same way I dealt with contractors building my vacation home. I'd tell them, "Do your job, you get paid. Screw me over, I won't pay and I'll shoot your dog" 😡 I only had too shoot one dog! Worked out well 😜

[jdoran1973]

Don't worry about offending them with an offer, worse they can do is say no or tell you to leave and allow another dealer to take your money. Besides, you're not insulting them by offering too little, but they ARE insulting you by asking too much😆

[RRDefector]

Originally Posted by wagonmaster2

So far the two quotes I've received as a first offer has been 20% and 22.2%. Didn't think those were even in the ball park.

I had a firm quote on a 2014 Anthem of 30% off msrp.. Still leaving a decent profit for the dealer. Your quotes of 20 and 22.2 % are in line with what i found when shopping Newmar. 25% being the highest . As in any deal listen to their offer ... Accept it or counter.. Its your money after all and you have the final say.. But at the same time the dealer made the investment, takes the risk, and pays the overhead. They have a right to profit also. Some dealers are agressive... Some are not..Just IMO.


Robert & Jana Stanton... Birthing a 20..something CornerStone 44B

[mike brez]

Originally Posted by UncleBilly

Deal with a salesman the same way I dealt with contractors building my vacation home. I'd tell them, "Do your job, you get paid. Screw me over, I won't pay and I'll shoot your dog" 😡 I only had too shoot one dog! Worked out well 😜

I don't think so tuff guy

[jimbo2013]

You can't be afraid to state what price you want, they never give you their lowest at first.

You never said what brand you're looking at we can help more if we knew, example Newmar is 28%, Entegra is 32 %

[Gary RVRoamer]

The dealer's margin isn't relevant. Make you offer and, if it's good enough, he will accept it (but maybe not right away). If not, he won't and you can either your offer or walk away.

There are dealers (usually larger, high volume types) that will accept 20-30% off MSRP, and others who won't go less than around 15%.

[Rich and Cork]

When my sister was selling motorhomes they did not know the dealer pricing. The dealing is really with the F&I guy.

[wagonmaster2]

Originally Posted by jimbo2013

You can't be afraid to state what price you want, they never give you their lowest at first.

You never said what brand you're looking at we can help more if we knew, example Newmar is 28%, Entegra is 32 %

Sorry, I'm awfully good about leaving out pertnant information. I'm working on a 2015 Dutch Star 40'. And the trouble with walking off from a low deal is that one of these dealers is the one I eventually want to use as I've heard and read he is the most reliable on any repairs. So I don't want him to hang up on me or tell me to go jump in the lake if my 26-28% offer insults him the next time we talk.

[Mr_D]

Originally Posted by wagonmaster2

Sorry, I'm awfully good about leaving out pertnant information. I'm working on a 2015 Dutch Star 40'. And the trouble with walking off from a low deal is that one of these dealers is the one I eventually want to use as I've heard and read he is the most reliable on any repairs. So I don't want him to hang up on me or tell me to go jump in the lake if my 26-28% offer insults him the next time we talk.

Well, then you don't have a problem. Just take the deal they've offered you. That way you've made them a bunch of extra money and they're happy. Of course you way overpaid them but that's not your worry, right?

Oh yes, in 2002 we got 27% off, and the dealer is now out of business partly because Newmar yanked his franchise.